Gross profit percentage formula is represented as, Gross profit percentage formula = Gross profit / Total sales * 100% It can be further expanded as, Gross profit percentage formula = (Total sales – Cost of goods sold) / Total sales * 100% Divide 800,000 by 1,000,000 and you get 0.8 — or a net collection rate of 80 percent. Fast Fact A net collection rate should ideally not fall below 95 percent, according to the American Academy Gross Collection Ratio 66.6% 67.2% 69.9% 66.9% Accounts Receivable 287,258 $ 290,890 Salaries $37,814 $195,992 $36,130 $191,676 $4,316 Overtime Expense $1,502 $2,947 $1,750 $4,443 ($1,496) Contract labor $600 $4,100 $750 $4,750 ($650) Staff Payroll Taxes $3,047 $15,418 $2,936 $15,199 $219 Staff Benefits: